This visit is a key step in further uplifting relations, being the first by a Luxembourg foreign minister to Sri Lanka. Furthermore, the two countries have elevated bilateral relations with the accrediting of the Luxembourg Ambassador in New Delhi to Sri Lanka from this month onwards. Prime Minister Rajapaksa stressed that one of the key priorities for Sri Lanka now is to bring investors into the country, with the new Government providing many incentives to facilitate those interested.
There is also a great potential for Sri Lanka to advance trade and investment ties with Luxembourg. In 2018, total bilateral trade between the two countries was at $1.23 million. Even though Luxembourg is a small-sized market, it is one of the richest countries in the world (in terms of GDP per capita). Thus, there are good prospects in that market for high-valued Sri Lankan products.
Being an EU GSP+ beneficiary country, Sri Lanka also has the potential to further diversify its exports to the region in a number of sectors such as perishable agricultural goods, fish products and luxury consumer goods.
Speaking on behalf of not only Luxembourg but the entire European Union (EU), Minister Asselborn said that the EU is interested in engaging more with Sri Lanka.
(FT)